$BTC

What is bitcoin?

In this article, we will understand what Bitcoin is and how it works. We will also talk about its origin, advantages and disadvantages, creation of Bitcoins, buying, selling, and investing, factors that influence its value, the concept of blockchain, virtual wallets, and much more!

What is bitcoin?

Bitcoin was born in 2009 and is a cryptocurrency, meaning it is a digital currency that functions as a means of payment and as a form of investment. It has no physical existence and is not controlled by any country or central bank, nor is it backed by an underlying asset, such as gold. Bitcoin is virtual money whose value constantly varies and can rise or fall with great volatility in many cases.

Each bitcoin has a code that is stored in a digital wallet called a “wallet,” which allows other people or companies to send or receive Bitcoins (or parts of a Bitcoin).

Thus, Bitcoin is a decentralized digital currency that allows transactions without intermediaries, a characteristic of cryptocurrencies. It uses “peer-to-peer” technology, which facilitates transactions between the parties involved, who send and receive Bitcoins through a digital wallet that has a Bitcoin address, something similar to a traditional bank account.